Monday, October 5, 2009

ANDRA BANK SAFE BUT SLOW LONG TERM INVESTMENT


Hi Mahesh ji can you please give your opinion on andra bank should I sell it now or can I hold it for one year what is target price after one year also suggest me good stocks that are below 100 rupees. - Ask by shri dukkipati satish ji by mail
1. Andra bank is a public sector bank.
2. Face value of andra bank is 10 rupees.
3. Andra bank give 45 percent dividend in last year.
4. P/E of andra bank is 6.6
5. Book value of Andra bank is 75
6. So fundamental of all public sectors bank is good they available on or near his book values and give a good dividend but they all are effected by government policies so market not give him a high valuation at once they grow step by step so if your position is on a decent profit then book some part of it because target for 1 year is uncertain due to change of government policies.
7. If you hold it very long-term means 10-20 year, then they give you more then 15 percent return every year by dividend or price appreciation.
8. In my view public sector bank are safe trading stock’s
THIS ANALYSIS IS MAHESH CHANDER KAUSHIK OPINION ONLY NOT A PROFESSIONAL ADVICE SO READ DISCLAIMER BEFORE TAKE ANY ACTION.
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